Fear of deducting a percentage of employees ' salaries in 2017 budget

by **RamblerNash** Mon Aug 22, 2016 10:56 am

Fear of deducting a percentage of employees ' salaries in 2017 budget

Posted by: admin2 August 21, 2016

BAGHDAD / sng

He returned to renewed concerns among state employees and retirees on reduced salaries or increase the percentage of deductions, in conjunction with the return of Iraq to talk about the scarcity of financial resources due to lower oil prices and the continuation of the war against al Daesh.

The government has confirmed its part, that those fears are unwarranted, the fact that the employees' salaries, social welfare and pensioners to be a priority, according to officials said.

While the staff complained about the state of the disparity deductions salaries, adviser to Prime Minister for Economic Affairs, the appearance of Mohammed Saleh, said that the House of Representatives approved the deduction of 3% of the salaries of retirees and endorsed by the budget in 2016 to support the war effort.

Saleh pointed out that this disparity is obtained as a result of diversity jobs and because of laws passed before the establishment of the pension fund and beyond.

Reports indicate that the crises that exposed as well as production disruptions and economic activity for the five governorates of Iraq, and therefore exposure of 15% of GDP her destruction as well as unemployment and displaced persons, is not easy on the government.

Added to this, the fall in oil prices, which financed 96% of the state budget, to the quarter, with the survival of fixed costs as Bill salaries, pension and social welfare.

With the continuing priority of the military's benefits exchange of several hardware in the current situation, the financial gap may last over three years in the country, according to observers. Prompting the International Monetary Fund to provide annual financial support to bridge the budget deficit and 18% allocated to meet the financing of the health and education sectors, the requirements of social welfare and displaced persons and the ration card.

The oil revenues earned by Iraq stands at $ 5.3 billion a month at best, and pushes it to the oil companies of the costs and obligations of the estimated billion dollars, while not enough remaining amount of the salaries of employees and retirees, social welfare and in excess of 5.4 trillion dinars.

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